Invesco Emerging Markets Sovereign Debt ETF V.PCY

Interesting stuff from MD&A

[gwalker]

Bunch of random elements pulled from the just released MD&A

• Platinum is considered a subsidiary of Prophecy and its financial 
  results are consolidated into Prophecy’s annual consolidated financial statements.
• The Company’s ownership interest in Platinum was reduced to 48.86% as at December 31, 2011, which resulted in a dilution impact recorded to deficit.

UO

• During 2011, the Company sold 133 632 tonnes of coal of two grades - 4,200 
  GCV and 5,100 GCV (arb.) (In Q4 2011 – 90,000 tonnes) to both Mongolian and Russian companies.  
• 2012 Outlook: The Company expects to produce 400,000 - 500,000 tonnes of coal in 2012 with increased sales to Russia at higher selling prices.  In addition to this production, the  Company has stockpiled coal available for sale.  

  The Company is working with Russian partners and the Buryiat Province government in Russia  to open the Zheltura border post (approximately 15 km from the mine) in order to reduce the cost of transporting the coal to Russia. On the Russian side, there is already federal permission to open the border on a temporary basis. 

  While selling coal through the Russian eastern seaports proved to be complex and difficult in 2011, we will further pursue this option in the latter part of 2012.  The Company is also working closely with the Selenge provincial government of Mongolia to obtain approval from the Mongolian government to open Zheltura.

  On the strategic front, the Company has received interest from potential joint venture partners to assist in the development of Ulaan Ovoo, which speaks to the merit of the project.

Chandgana

• 2012 Outlook: The Company has been in discussion with a number of potential engineering, procurement and 
  construction (“EPC”) contractors with the goal of finalizing EPC selection expeditiously after the power plant license is obtained. The Company goal is to sign an EPC contract and power purchase agreement (“PPA“) by 
  mid-year 2012, and conclude project financing by the end of 2012. The Company has retained Linklaters of London, a leading global law firm with PPA experience, to assist Prophecy with finalizing the PPA. The PPA will provide long term, stable energy price and supply to Mongolia, as well as predictable cash flow to Prophecy’s shareholders in return for the hard assets the company has contributed and risks undertaken. Construction is expected to start in 2013 with completion in 2016.

Wellgreen

• The commencement of a Preliminary Economic Assessment (“PEA”) was announced in early September2011. The PEA will examine the Wellgreen deposit in the context of an open pit project and determine preliminary economics for the project.  The results of this work are on schedule and are expected in April 2012